patrick.net

Shopify and Roku will lose a bunch of money here as well.

Those MBS's that SVB will be liquidated at a heavily discounted rate so expect the balance sheets of those two companies to take a major haircut.

Suprised they arnt trying to push bailout or maybe they are and I havent seen it.

RWSGFY says

mell says

NuttBoxer says

Also, executives sold millions in stock before the collapse. Didn't realize insider trading is now legal...

They said it was part of a plan which is usually legal, however if they changed that plan recently to sell or sell more they should be facing criminal charges.

If they didn't violate the law as written then we need a better law. Can't charge people based on feelz.

Not sure if you're allowed to make changes to the plan on material information.

Without SVB or FTX, the Dems are going to need a bigger launderer for donations? Was SVB the conduit for DOD and DARPA funds to SiCoValley for all of the surveillance and propaganda strategies to be directed against the populace?

It seems like somebody is pulling the toothpicks out from under the support structures of the Ponzis. Which Ponzi is next, and when will The FED Ponzi collapse?

If they re-name it "Banco Cartel Internacional", then the Rockefellers will bail it out.

No one seems to be talking about this:

What about the derivatives? How many of these bad loans were used as collateral to make new loans, with this insane process being repeated into infinity?

With the size of SVB, this very well could be the colossal, weak link that breaks the financial chain.

Ceffer says

Without SVB or FTX, the Dems are going to need a bigger launderer for donations? Was SVB the conduit for DOD and DARPA funds to SiCoValley for all of the surveillance and propaganda strategies to be directed against the populace?

If I'm being honest I think it's just young gun, moronic Californian's, startup types and even bigger businesses that lost sight of the details that got burned on crypto as I've said. Lost a shitload on crypto and freaked that they "actually" had to run a business and drained their deposits from SVB. This is a basic bank run due to losses elsewhere. Basically venture capital got pissed away into crypto and not the business, yet they still held balances. Shit hits fan and they have to make payroll for mostly useless employees "hanging out" at work. Sell the crypto at a loss and pull money from SVB.

During the housing bust lenders would lend to purchase large parcels to developers with NO buyers. For a while they found the buyers. That stopped and there was then 15 months of inventory on basically worthless land and no buyers because FINANCING changed. Wasn't interest rates. This is a different type of bust. Convinced it's crypto. I don't think I'm wrong. I'll admit if I am, but we'll see as this unfolds.

Booger says

Shopify and Roku will lose a bunch of money here as well.

Those MBS's that SVB will be liquidated at a heavily discounted rate so expect the balance sheets of those two companies to take a major haircut.

They will likely not according to a buddy of mine who works for the Federal Reserve. Looks like all depositors will be made whole with the assets and equity SVB has on the book.

To protect the innocent, I had to blank out his name. Basically, FDIC will provide a backstop on the losses, IF ANY, to the buyer of SVB.

FDIC money is NOT taxpayers money. High probability all uninsured depositors will be made whole. I’m not an expert on this subject so I would prefer to listen to the people who work in the trenches rather than speculating.

https://www.youtube.com/watch?v=XVk_e31dnlE

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all of this liquidation of silicon valley bank is inside deal making to their ivy league educated friends

its just a lot more sophisticated form of back slapping good ole boys and legacy families in the florida panhandle

roll tide

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mell says

Don't support woke businesses. Period

Probably the best investing advice for an entire generation.

Hyperinflation's back on!

https://www.zerohedge.com/markets/svb-latest-developments-live-blog-fdic-auction-failed-svb-assets-underway

Bailout underway for all funds, futures spiking.

https://www.cnbc.com/2023/03/12/regulators-unveil-plan-to-stem-damage-from-svb-collapse.html

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Now the crypto friendly bank, Signature Bank, has been shut down by the government

https://www.coindesk.com/policy/2023/03/12/crypto-friendly-signature-bank-shut-down-by-state-regulators-fed/

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mell says

https://www.cnbc.com/2023/03/12/regulators-unveil-plan-to-stem-damage-from-svb-collapse.html

yep, the guvmint and federal reserve don't want a panic which results in panic or fire sale prices and shark investors coming in and buying pennies on a dollar

go back to washington mutual and see how it got sold off for a ridiculous low price ... just like housing sold for $270,000 and then 2 years later bought for $115,000 ...

no more exploited chaos resulting essentially in freebee's for those investors with cash ...

.

Sometimes you just gotta print the money.

Someone on another thread asked "Why a country would need a Central Bank"?

They'll shore it up because DARPA shit in those SiCo Valley start ups.
\

PRAISE ALLAH, HARRY & MEGHAN SAVED FROM FINANCIAL RUIN AND WON'T NEED TO GIVE HAND JOBS FOR CASH!!!!

RWSGFY says

PRAISE ALLAH, HARRY & MEGHAN SAVED FROM FINANCIAL RUIN AND WON'T NEED TO GIVE HAND JOBS FOR CASH!!!!

They won't be forced to "Abandon their privacy" and do more Netflix Specials on Mental Health and tell crap stories about dumb sibling arguments from their childhood

.

Just checked Yahoo Finance page and S&P 500 futures still up. Looks like investors have confidence in there not being a banking and financial crisis.

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There is no match for the Fed bazooka, they'll just inflate their way out of this. Shorts already have made their money, it's very dangerous being short against the Fed

mell says

There is no match for the Fed bazooka, they'll just inflate their way out of this. Shorts already have made their money, it's very dangerous being short against the Fed

they'll keep the financial system propped up in order to keep the federal government solvent especially with debt to gdp ratio and debt service payments as a percentage of the federal government budget .... this allows the federal government to not have to enact drastic changes such as to entitlements

i agree as far as inflating out of a crisis as inflation is the tax ultimately for the middle and working class

i see the fed raising to 5.00% for the Fed Funds rate but no higher as they change their plan to go higher than 5.25% and they'll continue quantitative tightening

.

https://rudy.substack.com/p/bill-ackman-personifies-everything

ad says

mell says

There is no match for the Fed bazooka, they'll just inflate their way out of this. Shorts already have made their money, it's very dangerous being short against the Fed

they'll keep the financial system propped up in order to keep the federal government solvent especially with debt to gdp ratio and debt service payments as a percentage of the federal government budget .... this allows the federal government to not have to enact drastic changes such as to entitlements

i agree as far as inflating out of a crisis as inflation is the tax ultimately for the middle and working class

i see the fed raising to 5.00% for the Fed Funds rate but no higher as they change their plan to go higher than 5.25% and they'll continue quantitative tightening

.

ad says

mell says

There is no match for the Fed bazooka, they'll just inflate their way out of this. Shorts already have made their money, it's very dangerous being short against the Fed

they'll keep the financial system propped up in order to keep the federal government solvent especially with debt to gdp ratio and debt service payments as a percentage of the federal government budget .... this allows the federal government to not have to enact drastic changes such as to entitlements

i agree as far as inflating out of a crisis as inflation is the tax ultimately for the middle and working class

i see the fed raising to 5.00% for the Fed Funds rate but no higher as they change their plan to go higher than 5.25% and they'll continue quantitative tightening

.

Agreed. I'm not for it but most countries of the world have embarked on a similar voyage, maybe at some point we have another economic system take over, but for the foreseeable future this is the MO. Plus it makes debt and debt to gdp relative if all countries are debtors of each other. It sucks for those without assets as it's continued devaluation of their currency/buying power, but most will take it over the fear of unemployment. It's very difficult to detach from this system or going Galt. But avoiding woke companies is not hard to do and is so worth it.

No one's saying unwinding the largest debt bubble in the world's history is going to be easy, or fun. But if we ever want to get out of debt-slavery, improve our standard of living, and be free, it's the only way. And it will happen regardless, hyperinflation is just a longer, more painful, and more explosive road to the same end. Of course they're hoping to keep all this up until they can have a planned collapse and transition over to CDBC, but early trials are a disaster. It won't happen.

Watched a financial analyst on local news, guy said two things ad-naseum. Deposits are ensured, and no reason to panic. I got the impression he's scared as shit of a loss of confidence tomorrow leading to further bank runs.

That bazooka doesn't mean dick if everyone pulls their money tomorrow. Confidence is what props up the lies, and it's fading fast.

ad says

.

Now the crypto friendly bank, Signature Bank, has been shut down by the government

https://www.coindesk.com/policy/2023/03/12/crypto-friendly-signature-bank-shut-down-by-state-regulators-fed/

,

So much for the SVB being isolated...

It gets better...
Eight years before the second-largest bank failure in American history occurred this week, the bank’s president personally pressed Congress to reduce scrutiny of his financial institution, citing the “low risk profile of our activities and business model,” according to federal records reviewed by The Lever.

Three years later — after the bank spent more than half a million dollars on federal lobbying — lawmakers obliged.
...
Touting “SVB’s deep understanding of the markets it serves, our strong risk management practices,” Becker argued that his bank would soon reach $50 billion in assets, which under the law would trigger “enhanced prudential standards,” including more stringent regulations, stress tests, and capital requirements for his and other similarly sized banks.

Becker insisted that $250 billion was a more appropriate threshold.
https://www.levernews.com/svb-chief-pressed-lawmakers-to-weaken-bank-risk-regs/

B.A.C.A.H. says

It's the reason, for my whole adult life, I only use "Silicon Valley" as a Pejorative.

I think this place has cut its own throat by getting into bed with the Intelligence agencies. I fully expect this place to be the next Detroit.

There is SO MUCH BULLSHIT here now. Tesla is just a dumb idea, electric cars are a dumb idea. So many companies just make bullshit that are ESG stupidity. Large firms are hiring frankly morons based on skin color, nationality, sexual and gender identity. I can SEE it starting to fall apart.

Twitter isn't going to recover. Youtube is dying on the vine. Google has become a 2nd, maybe 3rd tier search engine. Facebook is worthless, Twitter is worthless. There's no need for better and faster processors at least for the consumer market, and frankly we can't make the chips much faster anyhow.

And censorship is obvious, and it just drives people away. It's like IMDB, that used to be a great site, but since it was purchased, it just promotes the latest film, there's no discussion there, all the rating are fake and bullshit to the point people don't even use the site anymore. That's going to happen to every company pushing an agenda. I'm sure they have SHIT-TONS of money from the government to stay afloat, but they are going to be ignored. You can't force people to use these services, even if they are free.

The federal reserve will use this as an excuse to not raise rates, or at least only do a 25 basis point raise.

SVB (ticker symbol SIVB) has stopped trading. I'm disappointed that I can't watch the stock slide from 106.04 to zero while shorts cover (do they even need to do that?).

fucking nyse halting trades… faggots

cisTits says

Booger says

The federal reserve will use this as an excuse to not raise rates, or at least only do a 25 basis point raise.

Don't see how. This doesn't impact inflation or the money supply at all.

It does if they have to print money to cover the shortfall when they sell those MBS's at a steep discount and have to print money to make up the difference. But really it's probably not that much in the grand scheme of things so really isn't inflationary much, I would think.

Besides that, if the federal reserve raised rates 75 basis points, as they should, they would be doing the right thing. As history shows us, the federal reserve rarely, if ever, does the right thing and is always looking for an excuse to not do the right thing.

We've been running the entire country on excessive amounts of debt, and the banks were only too willing to create more opportunities to meet the demand while the regulators look the other way. Bankers always get more and more greedy, and in the end they can't control themselves. That's what's behind the insanity known as derivatives, whereby 'loans' are created using other loans as collateral.

The only answer out of this mess will be a Weimar Republic type inflation. We all know how that all worked out, providing an opportunity for a 'strong man' to make things right. Unfortunately his plan included war, which ended up killing over 50 million people. That may be what's next. Gerald Celente often states: "When all else fails, they take us to war."

So if you happened to have had a short position in Silicon Valley Bank, you don't even need to cover?

Any of you ever heard of Silicon Valley Bank before this? Because I haven't. Just curious.

zzyzzx says

Any of you ever heard of Silicon Valley Bank before this? Because I haven't. Just curious.

Yes, I wasn’t impressed with their IT infrastructure.